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Astra LT has manufactured a prototype of an advanced road tanker

Astra LT has designed and built a prototype of a new tanker for long-distance transport of hot or refrigerated food products. The new product offers the following distinctive features:

– the 30 m3 three-section tanker is really light, weighing 6,130 kg;

– the tanker is exceptionally well-insulated, with a 110-mm-thick layer of next-generation polyurethane foam resulting in an extremely low thermal conductivity of k=0.360W/m2K;

– the tanker is made of the new Duplex 1.4162 stainless steel, which is well-suited for the transport or storage of any liquid food product, including aggressive (corrosive) foodstuffs or food components for which austenitic AISI304L or AISI316L stainless steels are not suitable;

– Duplex steel also features very sturdy mechanical properties, which allowed the prototype to be made relatively lightweight and permitted a further reduction of the weight of the tanker.

The lower weight of the tanker allows for a larger quantity of product to be loaded. For transport of hot products, tankers currently on the market are usually equipped with an additional heating system, but this increases the weight of the vehicle and reduces the permissible load. In addition, the very principle of using less insulation and compensating for the resulting heat loss by burning additional diesel is not sustainable. Astra LT’s new tanker has a level of insulation such that, after filling the tank with 27 t of chocolate heated to +90 °C, it can be transported or simply stored for 11 days at -20 °C without any risk of the product congealing, because after 11 days the chocolate will remain at least +45 °C and will still be able to be pumped. In summer, at an outdoor temperature of +20 °C, the same amount of hot chocolate (27 t) will take 23 days to cool to +45 °C. In fact, the excellent insulation allows the tanker to be used not only as a vehicle for transporting a hot product, but also as a container for short-term storage at the customer’s premises.

The prototype has been fully completed, an expert examination has been performed and the tanker has been authorised for vehicle registration. The factory is currently preparing to manufacture the new product, is coordinating technical details with partners, and expects to start production in the near future.

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Automotive Supplier Summit 2021

Last week Darius Lasionis, Executive Director of the Baltic Automotive Components Cluster (BACC), participated in the Automotive Supplier Summit 2021, held in the German city of Wolfsburg.

During the event, challenges and trends in the automotive sector were discussed. Several aspects were identified, which are especially relevant at the present time: how to remain competitive and how to face the challenges of the New Mobility Era. The idea was proposed that purchasing must be a central success factor for achieving corporate sustainability goals.

Participants also devoted much attention to analysing disruptions of the raw materials and components supply chains, while at the same time emphasising that new and significantly stricter requirements for manufacturers and suppliers are emerging.

One of the most important trends is that major companies plan to select their suppliers, or review their lists of existing suppliers, according to certain criteria, and will demand from suppliers such things as an internal Code of Ethics and Sustainability. It is very important to global automotive companies that suppliers be socially responsible. Suppliers will be encouraged to observe Green Economy principles, and criteria such as a company’s CO2 emission ranking will arise. This is a new challenge, but at the same time presents new opportunities for Lithuanian companies. It is well worth paying attention and preparing now. All of the above-mentioned points will not be put into practice very quickly; rather, they will gradually come into force as more and more companies implement their company policies according to these criteria and requirements, and simultaneously demand the same from their own suppliers and partners.

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Webinar: Baltic States – opportunities for UK automotive

Last week, the webinar “Baltic States – opportunities for the UK automotive”, organized by SMMT, took place online. Speakers from three Baltic countries made presentations about the automotive sector and the actual situation. Lithuania was represented by four speakers: Giedrius Valuckas, the Chairman of BACC; Darius Lasionis, the CEO of BACC; Laurynas Jokužis, the CEO of Elinta Motors, UAB, Alvydas Naujėkas, the CEO of Vėjo projektai: e-buses Dancer producer.
Giedrius Valuckas presented economic and business environment in the Baltic countries as well as all the advantages of manufacturing, and perspectives of the automotive sector.
Valuckas emphasized that the economy of 3 Baltic countries were recovering fast despite the lingering pandemic. Baltic countries have perfect infrastructure and due to the favorable location perfectly serves Northern, Western and Eastern European markets. The Baltic countries could be a manufacturing and logistic hub which has great potential for business connections between the UK, Lithuania, Latvia and Estonia.
Due to strong engineering and technical skills, multicultural environment and rapid development Baltic states become interesting partner to develop manufacturing projects.
Darius Lasionis presented the BACC cluster and its activities. He emphasized that Lithuania was rated among TOP 10 in the world and TOP 5 in Europe in terms of its attractiveness for global manufacturing. The CEO also presented the services and products that BACC companies can provide to partners in the UK. Lasionis discussed about the international companies which have been successfully operating in Lithuania for many years.
We believe in fruitful cooperation between the UK and Baltic companies in the automotive sector.

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BACC members have more orders than at the same time last year

This autumn, the majority of BACC members have more orders than at the same time last year. The increase for these members ranges from 20% to 50%. All companies understand the dangers posed by the pandemic and are trying to get ready for the near future.

Why do BACC member-companies have more orders at the moment? There are several causes:

# The automotive market is recovering, and getting back on track. Consumer expectations have improved as well. Those are the main factors for why operations in the automotive sector are picking up speed.

# As the second wave of Covid-19 approaches (or has already arrived), in order to avoid or minimize disruption of delivery, OEM and TIER1 clients are increasing orders for BACC companies.

# It shows Lithuanian BACC companies are competitive and are able to make products of good quality at attractive prices.

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UAB “SLT Industrial Components”: production of breathing air cylinders

UAB “SLT Industrial Components”, which operates in Biržai, searching for solutions to produce air cylinders that have recently been in high demand for pulmonary ventilation and anaesthesia what also saves jobs due to decreased needs in automotive sector.
The target is 90,000 units worth of air cylinders per week. At present, the company manufactures 0.5l, 1l and 3l capacity air cylinders. It plans to increase its capacity and dedicate over 20 people for this project. Each shift trains 2 new people, who would have been responsible for the manufacture of other products at the company previously. “We would like to run continuous operations 24/7,” says the Director, Mr Variakojis. The head of the company stresses that with the US automotive industry entering a slowdown, established brands are urgently ramping up their efforts to start or have already started manufacturing pulmonary ventilation equipment for this country suffering from the pandemic. UAB “SLT Industrial Components”, which operates in Biržai, will also attempt to meet the demand for this kind of equipment both in the USA and across Europe.

Until recently, UAB “SLT Industrial Components” has been manufacturing parts for a variety of industries, including the medical industry. The company supplies its products to a Swedish company, Nolato MediTor, which in turn caters for 25% of the global market of breathing air cylinders.

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HISTEEL: a reliably-expanding circle of customers and 2.9% growth in turnover

In 2019, Kaunas-based UAB HISTEEL increased its serial production volume and turnover grew by 2.9%. It is one of the leading and most modern metal-processing companies in the Baltic region, producing 850 different articles in production runs ranging in size from 1,000 to 5,000,000 units per year.

The core business of HISTEEL is production of parts by punching and drawing, production of small welded parts and assembly of fittings. The company specialises in the making of prototypes and small series production, when a given article may be produced in a production run ranging in size from several to 1,000 units in a year, as well as mass production, when up to 5,000,000 units of a given article may be produced in a year. Automotive manufacturers and other industrial sectors figure prominently among the company’s customers.

The company’s deputy managing director, Dainius Volskis, emphasises that “2019 was a successful year for our company. Rising volume in serial production and outsourcing of production from Western Europe let the company generate a larger profit and invest in machinery and equipment. Our expanding list of customers gives us the opportunity to plan for continued growth in the next year, despite the situation of our market sector being quite complicated.” HISTEEL’s turnover was 10.5 million euro in 2018 and 10.8 million euro in 2019, that is, an increase of 2.9%.

Liudmila Valinčienė, the head of sales, draws attention to the investment in machinery and equipment, thanks to which the production process has become significantly more efficient. “Last year, companies across our sector in Europe experienced decreasing sales volume, but that encouraged us to look for alternative solutions,” she says. HISTEEL constantly pursues innovations and has been able to find long-term sales partners.

At present, product assortment includes 850 different articles. One of the company’s main advantages is the fact that a customer can find everything it needs under one roof:

  • From design to technical calculation and tool production in-house.
  • Coordinated and effective processes using optimal solution methods.
  • HISTEEL stays with the customer throughout the entire process: from the initial idea right through to serial production.

The company exports most of its production to customers in Germany, France, Austria, Hungary and the Baltic region. Only about 12% of production stays in Lithuania.

Liudmila Valinčienė, the head of sales, says that the company invested heavily in 2019 in employee training, to develop specialised skills. Employees with exceptional competencies contribute greatly to improving efficient production processes and increasing sales.

She emphasises that in recent years, the company has been audited by several foreign companies prior to possibly beginning the production of certain articles. According to her, the results of these audits have been quite successful, so in the future the company expects some significant orders.

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UAB Baltic Filter: the productivity in manufacturing sectors increased almost 4 times

Baltic Filter

Last year was especially successful for UAB Baltic Filter, a producer and supplier of automotive air, salon, fuel, oil and other filters. As the company continued to apply innovative technologies, two new automated production lines (using robots) were installed, eliminating the possibility of production defects resulting from human error. The productivity in these sectors increased almost 4 times and turnover exceeded 10 mln. Eur.

The head of the company, Vytas Mazuronis, believes in its success. “Our distinctive feature in the market is that we produce filters in which parts of the inner housing have been patented. The efficiency of such filters increases by up to 8%.” Know-how is one of the factors with the greatest effect on the company’s growth. In addition to automated production lines using 7 robots, two new production workshops with warehouses have been built.

UAB Baltic Filter produces more than 2,500 types of automotive air, salon, fuel, oil and indoor ventilation system filters. The company supplies filters and filter elements for cars and trucks, motorcycles, agricultural equipment and other vehicles.

UAB Baltic Filter prioritises environmental protection. The company’s operating guidelines are based on the strictest world standards, with much attention paid to using innovative technologies, ensuring environmental protection, optimising production processes, having as little effect on the environment as possible and preventing the slightest pollution by industrial waste. Such industrial waste is sorted and recycled, using a circular waste recycling scheme.

Employee initiatives, brain-storming and independence are valued. Employees are involved in maintaining and improving the integrated management system. Employee trainings are periodically organised. Conditions for personnel on the job and on breaks are being improved; facilities have been renovated, and for those who enjoy active recreation and sport, there is a sport area.

The company exports 93% of its production to more than 50 countries across Europe, Asia and Africa, and only 7% of production stays in Lithuania. The largest customers are EU countries, West Africa and the Near East. Despite its rapid growth in 2019, the company has set ambitious targets for 2020. Additional investments and production lines as well as a search for new partners abroad are planned. It is planned to launch a new, innovative product for indoor air ventilation system filtering.

The company emphasises the main factors driving the company’s growth: “The excellent, coordinated work of our staff, our flexibility, our ability to satisfy our customers’ needs quickly, effectively, properly, in a timely manner and at the optimal price”.

Baltic Filter 2

Baltic Filter 3

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At UAB Panevėžio Aurida: an expanded assortment of autocompressors for agricultural use and the first deliveries to new strategic partners

UAB Panevėžio Aurida finished 2019 by finding new sales channels in strategically important Eastern European countries and by opening a company in Germany. The company, which produces compressors, machines parts, melts and casts aluminium and thermally treats parts, has expanded its assortment orientated to agricultural equipment, but also plans in the near future to produce more advanced models of compressors and to increase production efficiency.

Although the company has long years of production experience and reliable clients, the company constantly introduces innovative technology into its production processes. To remain competitive in the market, in 2019 the company expanded its assortment of compressors for the agricultural sector. The company also began to cooperate more closely with the Minsk Motor Plant (MMZ), and the first orders from MMZ were filled.

The compressor manufacturer occupies strong positions in Eastern Europe, but is now expanding its sales network into smaller regions. Deputy CEO Mantas Klupšas says, “We see a lot of potential for growth in the Western market, too. Starting in the third quarter of 2019, we began to operate more actively in the Western market, and we opened a company in Germany.” The company participates in international trade fairs, forums and conferences, seeking to expand its customer base.

One of the company’s exceptional features is its more than 60 years of manufacturing experience. As deputy CEO Mantas Klupšas says, “We are the only compressor factory in the Baltic countries and we are in the top 5 in the world, having such long experience and an extensive knowledge base.” Another of the company’s advantages is the highly-qualified personnel working in the factory. The deputy CEO is convinced that “thanks to a devoted staff which loves what it does, we are among the strongest compressor manufacturers, with an assortment of more than 50 compressor models.”

Most of the company’s production is exported to Ukraine, Russia, Belarus, Kazakhstan, Turkmenistan, Uzbekistan and other CIS countries. The company also has clients in Germany, Poland, Italy, Cuba and countries in Africa. Only about 1-2% of the company’s production is sold in Lithuania.

According to deputy CEO Klupšas, “The indisputable factors that have made us successful and which drive the company’s growth are our long years of experience, modern production equipment, highly-qualified staff and flexibility in manufacturing.”

The company has set important objectives: to deepen its know-how in the area of producing compressors for the agricultural sector, to expand its assortment of products, to increase production efficiency, to implement a modern enterprise resource planning system, to invest in new equipment, to expand production volume, to expand into the Western market and to establish cooperative relationships with large European manufacturers of commercial vehicles.

       

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CIE LT Forge: an incredible jump in sales, in just three years… from 14 to 45 million euro!

The launch of a modern manufacturing line using robots, a project to build three warehouses, selling to world-famous automotive industry brands and fast-growing sales: this is the non-photoshopped everyday reality of the Marijampolė-based company CIE LT Forge and its CEO, Darius Masionis.

Tell us about the greatest challenges the company faced in 2019. What successes can the company take pride in?

In 2018 and 2019, our greatest challenge was managing the increase in production. Production volume increased significantly, compared with that of several years ago. We had an especially large number of orders and new manufacturing projects. As production volume grew, we had to seriously focus on managing that process. Our sales grew and grew, and have tripled since 2016, from 14 million euro to 45 million euro! A new crankshaft-production line, into which we invested 10 million euro and which began operating in spring 2018, contributed a lot to our especially fast growth. The startup of the new production line allowed us to triple our production capacity. We encountered another challenge, too: lack of space for storing raw materials and finished product, so last year we started a warehouse-expansion project and new construction. We can take pride in another production line modernisation project using robots, which we carried out in 2019.

What makes your company different from other companies with a similar profile?

We can offer the client a finished product, performing all necessary operations, from forging to machining. All of the parts we produce (crankshafts and parts for engines, transmissions and trucks) end up in the vehicles of world-famous manufacturers, including Audi, Renault, Fiat, Volkswagen, Skoda, Scania, Porsche and others.

What factors do you think are behind the growth of the company?

A major influence is the fact that we belong to CIE Automotive, a global group of companies having its own know-how.

We use Lean manufacturing principles in the company, and the Lean method helps us find ways to more effectively manage all our production processes. We have been working with the Lean method for several years and we invest in improving our efficiency.

What portion of production do you export? What portion stays in Lithuania?

Everything we make is exported, nothing stays in Lithuania. We work only with mass and serial production of automotive components. We have long-term contracts. Unfortunately, there simply aren’t any clients in Lithuania.

In what countries are your main partners/clients?

Our main clients are in Germany, Hungary and Poland. We also supply product to clients in Austria, Czechia, Romania, France, Italy, Sweden, the United Kingdom, Mexico and the USA.

What are the most important objectives for the company in 2020?

This year, we are concentrating on finishing the strategic projects we have already started: the construction of three warehouses and the modernisation of another production line using robots. We also plan to continue implementing Lean principles. In 2020, we plan to concentrate more on developing opportunities in IT and on social accountability.

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Nitator – SLT: profit increased 20%!

In 2019, the sheet-metal pressing, welding and cutting company Nitator-SLT diversified part of its production and began to orientate toward providing specialised services to industrial companies in Lithuania. Although 99% of the company’s production goes to Sweden, the company does not intend to remain focused just on the Swedish market. The company is actively searching for new growth opportunities. The 20% growth in Nitator-SLT’s profit is proof of that.

One of Nitator-SLT’s main activities is supply of sheet-metal components to clients with especially demanding requirements for quality, environmental responsibility and delivery precision. The company manufactures and supplies parts to clients including Scania, Volvo Trucks, Volvo CE, Volvo Cars, Renault and Nolato.

CEO Liutauras Variakojis explains that in 2019, it was especially important for the company to diversify its manufacturing capacity. In the last year, the focus was on the search for and realization in new areas of operation. He says that the company is open to actively cooperating with companies in the Baltic Automotive Components Cluster (BACC) as well as other companies operating in Lithuania. At present, specialised cutting (shearing) and welding works are performed at the factory for companies lacking such specialised equipment for order fulfilment.

As one excellent example of such cooperation, the CEO mentions Utena-based Elameta, which belongs to the BACC. Powder coating of parts produced by Nitator-SLT is performed at the company in Utena.

As one of the distinctive features of Nitator-SLT, Variakojis draws attention to the production of hose clamps, using specialised stainless steel with rounded edges. The hose clamps are made for Volvo and Renault trucks.

Asked if employees are hard to find, the CEO says that “the Biržai area was always an agricultural region, so there are plenty of qualified employees capable of working with welding, cutting (shearing) and other specialised equipment. Employees are loyal to the company, with some having worked at the company for 15 years. For its part, the company encourages all-round employee involvement in the company’s operations.”

In 2020, the company has set the goal of remaining profitable and focusing not only on the automotive industry, but also supplying even more specialised services to clients and achieving maximal productivity.

About the company’s headquarters in Sweden. Since 1983, Nitator has been a family-owned business. The company seeks not only to preserve its roots in responsibility and tradition, but also to make use of the most up-to-date production technology available. Nitator has grown rapidly since it began to focus on contract production for the automotive industry. In Lithuania, the Nitator-SLT unit was established in 2005. The quality of its products and services is especially important to the company, as it seeks to satisfy the needs of some of the most demanding clients in the world. Nitator management emphasises the responsible attitude of employees to the highest standard of quality throughout the production process, the purpose of which is to avoid even the smallest of manufacturing defects.

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